Oil prices jumped by more than 5percent on Monday after the US and China agreed to a90-day truce in a trade dispute, and ahead of a meeting thisweek of the producer club OPEC that is expected to agree to cutsupply. U.S. light crude oil CLc1 rose $2.92 a barrel to a high of$53.85, up 5.7 percent, before easing slightly to around $53.50by 0830 GMT.

The Nifty is within touching distance of the 100 DMA of 10,958, having surged 4.7 per cent in November, or over 7 per cent for futures on expiry-to-expiry basis. This rally has now retraced 50 per cent of the Aug-Oct fall that had initially put the long-term uptrend in doubt. Banks are likely to make larger strides, but are best played on dips initially.

Gold may be poised to rally as speculation mounts that Federal Reserve will hit the pause button on interest rate hikes in 2019. After lift-off in December 2015 followed by a-rise-a year later, the central bank has since steadily raised benchmark rates and is widely expected to do so again in December. Goldman Sachs Group Inc. recommends an outright long gold position into next-year.